Archived IMT (2010.07.23)

UK Q2 GDP KNOCKS IT OUT OF THE PARK, rising 1.1% q/q vs. expected +0.5%, and +1/6% y/y vs. exp +1.1%. This is the first annual rise in 8 quarters. Services sector rose 0.9% q/q highest since Q1 2007. Although the FTSE-100 is up only 2 pts, there is sufficient risk appetite (from Asia) to boost EURUSD and GBPUSD. Germanys IFO survey also had strong showing, with all 3 indices beating expectations (see data calendar for details). EURUSD, GBPUSD and GBPJPY breaking last nights IMT targets. $EURUSD now looks for $1.3020, GBPUSD looks to extend gains towards $1.5450, while GBPJPY eyes 134.60. USDCAD seen hovering between 1.0350 and 1.040 ahead of CAN CPI later in the day.